The topic discussed is about purchasing the assets of an organization that is in involuntary administration from its voluntary administrator. Are there any elements of such an offer that voluntary administrators usually prefer or dislike? Additionally, I’m unsure about the value of certain assets, such as customer retention in the future. Is it possible to include flexibility in my offer to the administrator?

When it comes to answering this question, I must provide some generalizations. It's best to consider each scenario and personalize the approach for each. However some general observations can be made. For example, if two offers are of the same value, but one offers to pay in full within seven or fourteen days, while the other offers to pay in installments over time, the former will be favored due to the certainty it provides.

Furthermore, some people consider including an earning-out option in the offer. This could take the form of a percentage of revenue from customers retained, or a percentage of something else. Administrators may be more inclined to accept this if the business continues to operate according to certain conditions.

In addition, if you are uncertain of the assets worth, is there any leeway? I this case is best to speak to your lawyer about any legal options available. You may wish to make an offer contingent on due diligence, or make the offer subject to legal documentation, or something of the like. Alternatively, you may choose to price the risk of the unknown into your offer. To illustrate, in the worst case scenario, should the assets not meet your expectations, what value would you still offer? Or, risk-based pricing can be used, factoring in the risks of the likely or best case scenarios.